Anarcho-capitalism, one of the most controversial ideologies of our time, advocates for a world without government and a completely free market. Proponents of this ideology, who range from children as young as 12 to adults up to 65, believe that taxation is theft and that the only law necessary for human coexistence is the non-aggression principle. This ideology, although radical, has attracted serious thought and debate. But how did it evolve from theoretical discussions to the creation and subsequent failure of the world's first crypto cruise ship? Let's explore this journey.
On December 7, 2010, a significant event took place at a Libertarian conference hosted by the Thiel Foundation, named after its founder, Peter Thiel, a prominent Republican donor with extreme libertarian views. At this event, Patri Friedman, the grandson of libertarian thinker Milton Friedman, presented the concept of seasteading—creating homesteads on the high seas. The idea was to build floating cities free from government interference, starting a new society based on libertarian principles.
Among the attendees was Chad Elwartowski, a former defense contractor and anarcho-capitalist. Inspired by the seasteading concept, he co-founded Ocean Builders with Grant Romundt and German Bitcoin millionaire Rudiger Koch. They aimed to create a libertarian utopia by building a floating structure off the coast of Thailand. This prototype was seen as a middle finger to governments, symbolizing a society free from rules and taxes. However, it was built within 12 nautical miles of Thai territorial waters, leading to severe legal repercussions. The Thai Navy considered the structure a threat to national sovereignty, forcing Elwartowski and his girlfriend to flee the country.
Despite this setback, the team didn't give up. Leveraging Rudiger's Bitcoin wealth, they purchased an ocean liner, naming it the MS Satoshi, after Bitcoin's mysterious creator. Their plan was to convert the ship into a floating crypto hub, free from government regulations, and sail it around international waters. However, operating a cruise ship posed significant challenges, from basic logistical issues like power and water supply to complex legal and insurance requirements.
The team quickly learned that international waters are not a lawless utopia. Ships need to be registered, and without proper registration, they faced piracy risks and legal complications. Moreover, no port would allow an unregistered ship to dock. Forced to register the ship in Panama, they faced high operational costs, including $112,000 per day for fuel. Their dream of a self-sustaining libertarian community on the MS Satoshi began to crumble under the weight of these practical challenges.
In a bid to cover costs, they tried selling cabins on the ship to crypto enthusiasts. However, the idea of long-term living in a small cabin on a constantly moving ship was unappealing to potential buyers. Additionally, they faced regulatory hurdles, such as strict rules about pets on board. Financial troubles mounted, leading to the ultimate decision to scrap the MS Satoshi.
This saga of the MS Satoshi highlights the practical challenges and inherent contradictions in the anarcho-capitalist dream of creating a government-free society on the high seas. Despite their enthusiasm and ideological commitment, the team behind Ocean Builders found themselves unprepared for the realities of maritime law, insurance, and the complexities of operating a floating community. Their story serves as a cautionary tale about the limits of idealism when confronted with the practicalities of the real world.